Oil

Balance

Ukraine's demand for oil and petroleum derivatives in 2005 was 18 million tons, of which 4.3 million tons were supplied by Ukrainian oil and gas producing companies, and the rest was imported from Russia and Kazakhstan.

In accordance with the base-case scenario, the volumes of domestically produced oil with gas condensate will be increasing and will reach 5.1 million tons/year by 2010, and 5.3 million tons/year in 2015. Oil production from domestic deposits will then stabilize at the level of 5.4 million tons/year. A total of 133.9 million tons of oil with gas condensate will be produced over the forecast period (2006-2030).

Oil with Gas Condensate Reserve Increment, million tons

Oil with Gas Condensate Reserve Increment, million tons

Given the increase in oil refining efficiency up to 85%, the production of major petroleum products will be enhanced by 2030 as follows: gasoline production will grow up to 11.5 million tons (twice as much compared to 2005); diesel fuel, up to 17.2 million tons (2.1 times); jet engine fuel, up to 1.5 million tons (3.8 times). Mazut production will decrease to 5.7 million tons (by 17.4%).

Import, export

Ukraine's current demand for oil is 28 million tons. About 15% to 18% of the demand is covered by domestic production. Imported Russian and Kazakh oil accounts for 85% to 90% in oil deliveries to the refineries and is supplied as URALS mixture by the existing oil pipeline system through the Russian territory

Oil of other brands (Kazakh and Azerbaijani) is not supplied to Ukraine due to its high price compared to that for URALS.

Based on the projected demand for oil and the forecast oil and gas production levels in Ukraine, oil imports will be 23.3 and 26.7 million tons in 2010-2015, respectively, 29.1 million tons in 2020, and 30.4 million tons in 2030.

Russia and Kazakhstan, as well as Azerbaijan and Turkmenistan may be counted, traditionally, among potential oil importers to Ukraine.

The oil terminal in the port Pivdennyi and Odesa-Brody oil pipeline offer technical possibilities to import oil both from the Caspian region and the Gulf and North and West Africa countries.